Does it? Lets envision the minimum viable product for a game store. You have a very basic web interface and you download games or installers from it. Something like itch.io, or similar to GOG. Is using Epic’s launcher better than just downloading the installers from a browser? I’d argue not, given the hastle of creating a new account, installing the launcher with all its spyware and using it, rather than the bare minimum of just downloading an installer, running it, and then running the game directly.

I support DRM free games too but I think you’re making a large assumption here that most people prefer that to one-click launcher install/updates/management.

Look at how other platforms have eaten into Steam’s control most successfully without resorting to anything too shady. Humble Bundle and Fanatical offer unique bundles with better deals. Itch.io works more closely with devs, esspecially smaller devs. GOG cut out a niche by specifically seeking out old games to licence or fix themselves, as well as by ensuring everything is DRM free.

I have seen no evidence of either Itch nor GOG eating Steam’s lunch. Quite the opposite. Steam continues to grow fast, while GOG is barely breaking even. I can’t find the financials for itch.io so I don’t know how well they’re doing.

Just to be clear, I would love for Epic to invest more into their launcher. I’m merely putting my product manager hat on and accepting that that is unlikely because the business case is bad.